Kakao Games has decided to cancel 500,000 shares of its treasury stock. This measure will reduce the number of issued shares, but there will be no change to the company's capital or the number of floating shares.

According to Kakao Games on the 8th, the company recently held a board meeting and passed a resolution to cancel 500,000 shares of previously acquired common stock within the scope of distributable profits. All four outside directors attended the board meeting, and an audit committee member was also present.

The scheduled cancellation date is July 15. The company will utilize its existing treasury shares without any additional acquisition process, and the scheduled cancellation amount is 29.856 billion won based on the book value as of the board resolution date.

With this cancellation, the company's total issued shares will decrease by 500,000, from the previous 107,245,265 shares to 106,745,265 shares.

However, since the shares being cancelled are treasury stock held by the company, there will be no direct change in the number of shares circulating in the market. Additionally, as this is a treasury stock cancellation under the proviso of Article 343, Paragraph 1 of the Commercial Act, it will not result in a reduction of capital, nor is it subject to reporting to the Korea Fair Trade Commission.